A hedge fund and a blogger bury the hatchet; financial regulators flex their muscle and more banking reads

Here\’s what\’s in your Tuesday banking roundup: A hedge fund buries the hatchet with a blogger, or it seems that way. Another top J.P. Morgan official says au revoir. And regulators flex their muscles — or at least crack their knuckles — over soybean contracts, bond deals and payday loans.

Bloomberg

David Einhorn

Hell hath no fury like a hedge fund disclosed: David Einhorn\’s hedge fund, Greenlight Capital, has dug up the identity of the anonymous blogger who posted last year about Greenlight\’s stake in Micron Technology Inc.
Being outed by the blog upset Greenlight, which hadn\’t yet revealed its Micron stake and argued that the revelation on the blog Seeking Alpha caused it to lose money by cluing in other investors to the fund\’s strategy. Greenlight did not disclose the blogger\’s identity, or describe what had transpired between them, saying only that it had \”resolved the matter privately to our satisfaction.\”

But who\’s counting? Mike Cavanagh is leaving J.P. Morgan Chase & Co.
And while his name might not ring a bell to every reader, his departure is significant: He had been thought to be in the running to succeed Jamie Dimon as CEO, and he\’s the latest in a long string of Dimon\’s top lieutenants to leave the bank in the wake of the 2012 London Whale trading scandal, which severely depleted the bank\’s cachet in Washington.

Bloomberg

Mike Cavanagh

Cavanagh, the co-head of J.P. Morgan\’s investment bank, will become co-president and co-chief operating officer at the private equity firm Carlyle Group.
For more on the caterwauling that is triggered when a top exec leaves J.P. Morgan, read this.

On the regulatory front: The Commodity Futures Trading Commission fined Morgan Stanley
for exceeding the amount of speculative contracts it was allowed to hold in soybean meal futures contracts. The Securities and Exchange Commission\’s probe of complicated bond deals is enough to make a person think that another financial crisis is percolating. And the Consumer Financial Protection Bureau is taking a hard look at payday loans.

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